Growth in its licensed business with Target Corp. wasn’t sufficient to offset steep declines in its relationship with Tesco in Europe, cutting Cherokee Inc.’s third-quarter profits by more than half.
Henry Stupp, chief executive officer of the Van Nuys, Calif.-based brand management company, said U.S. retail sales and royalty revenues from the Cherokee brand’s business with Target were each up 15.4 percent. “Internationally, our retail sales and royalty revenues were down 47.6 percent and 43.2 percent, respectively, over the prior year’s quarter, almost entirely due to a decline in the sales of Cherokee products at Tesco,” he noted. “Conversely, overall sales and royalty revenues for our other international retailer partners were up almost 2 percent.”
Hermès is launching a Laundromat pop-up shop in NYC - dubbed Hermèsmatic - where customers can bring their old scarves to be dip-dyed by an expert. Get all the details on WWD.com. #wwdnews (📷: @donstahl)